With the availability of large pools of retirees, the law of large numbers will start to see a predictable distribution of lifespans around the mean, allowing for longevity risk products. An important development.
Tag Archives | CIPR
Loss aversion means some people avoid annuities because a premature death may lead to a loss of capital, but lifetime annuities with death benefits aim to address this problem.
Enthusiasm for post-retirement investment products is growing, and the Government has just appointed an advisory group, but there are many reasons why the industry has not yet finalised the best outcomes.
Designing an adequate retirement income system is not only about new products, but personalised assessment of circumstances and good financial advice. There is no one-shot, silver bullet solution.
An appeal for interested parties to contribute to the government’s discussion paper on post-retirement products, now called ‘MyRetirement’ solutions, to be offered within the superannuation system.
The future leaders in superannuation will be those who successfully shift from an accumulation-phase focus to a whole-of-life approach, and there are many different ways of getting there.
Comprehensive Income Products for Retirement, or CIPRs, are almost a reality and there is much excitement around what this means for superannuation and retirement outcomes.
The superannuation industry has grappled with how to offer attractive retirement solutions, but lessons from overseas suggest some form of risk sharing to cover variable life expectancy will be needed.
The idea behind comprehensive income products for retirement, or CIPRs, is to provide retirees with a product that can generate a good income, manage risks and remain flexible. We need a scorecard to understand them better.